I think the corporate word is “pivot”…and so on and so forth..
The Morning Star
With federal legalization in limbo, three of the largest U.S. cannabis companies are now selling THC drinks
Trulieve Cannabis Corp. on Wednesday became the third large U.S. cannabis company to launch a line of beverages containing the intoxicant THC, as efforts to legalize cannabis on the federal level remain in limbo.
Trulieve (TCNNF) described its Onward line as a “premium, non-alcoholic THC beverage offering a modern alternative for social occasions.” The drinks, which can be ordered online and shipped to 36 states, come in flavors including sea salt margarita, blueberry mojito, Italian spritz, passionfruit martini and peach bellini.
Curaleaf Holdings Inc. (CURLF), meanwhile, is selling its Select THC line of beverages, while Green Thumb Industries Inc. (GTBIF) has invested in Agrify Corp. (AGFY), which bought the Señorita brand of hemp-derived THC beverages.
Canada’s Tilray Brands Inc. (TLRY) launched Tilray Alternative Beverages late last year to sell hemp-derived THC beverages in U.S. markets.
And Stiiizy, which is privately held, said last month it also plans to move into the hemp-derived THC category.
Aaron Grey, a cannabis analyst at Alliance Global Partners, said the involvement by major multistate cannabis operators such as Trulieve and Curaleaf in the hemp-derived THC beverage category reflects “confidence” that low-THC beverages will continue to be allowed under an updated U.S. farm bill. The current version of the law is set to expire in September.
The hemp-derived THC market could grow to nearly $14 billion, especially if big alcohol companies move in, Grey said,
“While the players in the market today remain smaller THC-beverage companies and legacy cannabis companies … we believe traditional alcohol companies will look to enter the space – particularly once there is more regulatory clarity,” Grey said in a research note Wednesday. “We view hemp-derived THC beverages as one of the green shoots for the industry in 2025 and will be listening for commentary on how management teams aim to capitalize on the opportunity.”
For the cannabis companies, hemp-derived THC provides another revenue stream as fewer states move toward launching adult-use or medical cannabis programs.
Some states, however, such as California, have banned some hemp-derived THC products.
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